Do you rent property to your business? Then be careful. You see, under the IRS’s “self-rental” rule, you could lose money in two painful ways. You could forfeit the juicy tax breaks you’re expecting. You could wind up paying unexpected taxes. And remember, this is true even if you create a separate entity that rents the property to your business! What can you do to … [Read more...]
Passive income and losses
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Three traps rental-property owners should avoid
When it comes to deducting mortgage interest on your home, the tax law is pretty straightforward. But when it comes to deducting mortgage interest on your rental property, it’s a different matter entirely. You see, Uncle Sam has set some traps for you that can cost you big time. Want to learn how to avoid three major rental-property interest-deduction traps and come out … [Read more...]
How seller financing can make you a fortune!
If you’re considering selling a rental property or your home, your first instinct may be to require an all-cash offer. But this may not be the best way to go. You see, if you finance the deal yourself, you could come out a whole lot better. My advice? Keep an open mind and read my new article titled Tax Tips: Use Seller Financing to Create Wealth. Three ways our … [Read more...]
What rental-property owners should know about seller financing?
Thinking about selling your rental property? Then consider financing the deal yourself. (Real-estate pros call this arrangement a “seller take-back.”) If you’re worried about a buyer not paying up, you should know that a default can actually be profitable for you. Here’s some good advice… read my new article Tax Tips: Cash In When the Buyer Defaults on Your Seller … [Read more...]
Here’s a great idea for rental property owners!
If you’re a rental property owner you’re probably aware of two important facts: FACT #1: Your rental property provides you with a nice tax shelter when you deduct your losses against your other income. FACT #2: In order to deduct those losses, you have to pass Uncle Sam’s 750-hour test. What you might not know is that your home office can help you pass that important … [Read more...]